"SolarCity postpones initial public offering, according to report" (SCTY)

Silicon
Valley's latest solar entry into the public markets was expected to make
its debut Wednesday, but Reuters reported Tuesday afternoon that San
Mateo-based SolarCity instead planned to put off its initial public
offering.

SolarCity was expected to begin trading on the Nasdaq
exchange under the symbol SCTY Wednesday after establishing a final
price Tuesday afternoon, making it the first installer of solar systems
to perform an IPO. But Reuters reported that the company instead would
postpone the offering, according to an underwriter for the company and a
market source.

The move seems add after company chairman Elon Musk,
the CEO of Palo Alto electric-car maker Tesla, publicly filed a notice
this week that he had committed to purchase $15 million worth of the
stock, which was seen as a sign of confidence in the company's vision
and cofounders Lyndon and Peter Rive, who happen to be his cousins.

In
earlier filings, SolarCity said it expected to sell 10 million shares,
with a planned range of $13 to $15 a share. At the midrange point of $14
a share, the six-year-old company would have raises $140 million at a valuation of roughly $1.2 billion.

For more on this story, go to www.siliconvalley.com or www.mercurynews.com.

SolarCity and its proposed IPO is in limbo as the Elon Musk-backed solar
utility weighs its options. Goldman Sachs, Credit Suisse and Bank of
America Merrill Lynch communicated the extent of investor price
sensitivity by investor interest in the range of US$10, well below the
US$13-$15 indicative range set on the 10.1m share offering.